| Government auctions and tax sales generally occur | | | | quick sale, which often puts them well below fair |
| when a homeowner is unable to pay the property | | | | market value. This is a great opportunity for first |
| taxes on their home, or their home is abandoned. | | | | time homebuyers or low income families to swoop in |
| In the U.S., when city or county taxes aren't paid for | | | | and pick up a discounted home in an otherwise |
| an extended period of time, the property is | | | | unattainable area. |
| considered "sold to the state," meaning that the | | | | The most important thing to remember before doing |
| deed is transferred to the area's local governing | | | | this, of course, is to make a detailed list of all |
| authority. | | | | expenses (including taxes) associated with the |
| In most cases, the former owner is given a five-year | | | | property, to ensure that it is within your price range, |
| window of opportunity to redeem their home by | | | | and won't be back on the auction block anytime |
| paying overdue taxes, penalties, and other costs. If | | | | soon. |
| the property is not reclaimed in this manner within | | | | For additional details on how to find cheap real estate |
| five years, the city or county can put it up for sale in | | | | listings in cities throughout America, you should refer |
| a government auction. | | | | to Cheap Real Estate. |
| Most of these tax sale properties are priced for a | | | | |